Fundsmith Equity ISA
The Fundsmith Equity fund is a popular fund which aims to invest in:
- high quality businesses that can sustain a high return on capital employed
- businesses whose advantages are hard to replicate
- businesses that do not require high leverage to generate returns
- businesses with a high degree of certainty of growth from reinvestment of their cash flows at high rates of return
- businesses that are resilient to change, particularly technical innovation
- businesses whose valuation is considered by the fund manager to be attractive
The fund invests typically in 20 to 30 stocks, does not invest in derivatives, does not hedge currency exposure, and the fund does not take fees for performance.
The fund has grown to over £20bn since launch in 2010 with impressive returns, despite stockmarket falls due to the global pandemic. With an annual management charge of 0.95% this fund is proving popular with investors who have seen a 397% return since November 2010.
Can I Transfer My Current Stocks and Shares ISA To The Fundsmith Equity Fund?
If you are currently invested with another provider in a Stocks & Shares ISA the good news is that you can transfer relatively easily into the Fundsmith Equity Income Fund.
If you do this via a platform such as Fidelity or Hargreaves Lansdown they can do this for you. Simply sign up for an ISA account and follow the simple instructions to get this actioned.
Buying the Fundsmith Equity Fund Via The Fidelity Platform
You can invest in this fund via a range of platforms - We have highlighted the Fidelity Platform:
- One low cost service fee, typically 0.35% on the investments you hold with them. However, ongoing fund charges do apply
- Flexibility, they allow you to hold cash as well as investments. This means you can hold your money in cash if you are concerned about the market's prospects. Providing a safer option until you’re ready to invest
- 24/7 access using their online Account Management system, and mobile app
- A wide range of investment options as well as tools to help you find the right funds for you
- Excellent customer service, including a UK-based contact centre and through investment guidance on their website
- You can get started with a minimum of £50 per month or £1,000 lump sum